Through a Process of ________, Traditional Intermediaries Are Being Eliminated

question 80

Multiple Choice

Through a process of ________, traditional intermediaries are being eliminated as many companies question the value added by layers in the distribution channel.

• A) knowledge management
• B) disintermediation
• C) horizontal marketing
• D) vertical marketing
• E) hybrid marketing

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Definitions:

Discount Rate

This is the discount rate used in the process of DCF to calculate the present value of cash flows that are to be received in the future.

Present Value

Today's calculated value of a future monetary sum or cash flow patterns, utilizing a specific rate of return.

Discount Rate

The interest rate used to determine the present value of future cash flows, reflecting the time value of money and risk of cash flows.

Annuity

A financial instrument that provides a steady flow of payments to a person, often employed as a source of income for those in retirement.